RegaloCard LLC is launching a service that enables gift card holders in the U.S. to send recipients in Central America funds for purchases at participating retailers in that region using redemption codes on their mobile phones. Consumers in the United States buy a RegaloCard from a store or other distributor and provide the name and mobile-phone number of the recipient. The recipient then instantly receives a PIN by phone text message, which he can use to make purchases at participating retailers. A launch of the service at retail test locations is beginning in El Salvador, and the company hopes to expand the service to Honduras, Guatemala and Mexico later this month, a spokesperson for Miami-based RegaloCard tells CardLine. Participating retailers include Burger King and the Siman department store. The card is free to buyers and recipients of the funds. Merchants pay a per-transaction fee, which a representative declined to disclose. Customers in the U.S. can buy cards in increments of $25, $50 and $100.

Subscribe Now

Authoritative analysis and perspective for every segment of the payments industry

14-Day Free Trial

Authoritative analysis and perspective for every segment of the industry